Could virtual cashiers be the future of the restaurant industry?

In an innovative move, a New York City restaurant chain has been introduced virtual cashiers, who accept customer orders via Zoom from their homes in the Philippines. The approach has sparked heated debate, with some arguing it is a step towards a dystopian and impersonal future. But the technology may not be as bad as critics think.

Customers at Sansan Ramen and Sansan Chicken in the Long Island City neighborhood of Queens are no longer greeted by a face-to-face cashier but instead interact with one displayed on a flat-screen monitor. Although physically on the other side of the world, virtual cashiers handle menu requests and take customer orders just like in any other restaurant.

The initiative, launched by New York-based Happy Cashier, has been in the testing phase since October. It currently operates several stores in Queens, Manhattan and Jersey City, including dumpling spot Yaso Kitchen.

Yet since virtual checkouts started trendy on social media, the system faced criticism. A New York Times journalist who visited a Sansan Chicken said the cashier had a spotty connection, making it difficult to hear. Another journalist tried to order something from the Yaso Kitchen menu, but the virtual cashier didn’t seem to know what they were ordering. It’s a New York Post item he seemed to care more about the system’s tipping standards than the benefits of the technology.

Beyond the technical problems, the model has raised broader economic and social concerns. Critics argue that virtual tellers are taking away job opportunities from New Yorkers, especially in the midst of shrinking local fast food workforce. Meanwhile, others have come to the defense of foreign workers who come “exploited” with a meager salary of $3 an hour, much lower than in New York City $16.

Despite these concerns, employing virtual cashiers could have several benefits. For struggling businesses, it offers a way to reduce operating costs and maintain lower consumer prices.

Chi Zhang, founder of Happy Cashier and former restaurant owner, sees the model as a necessary adaptation. Faced with high rents and operating costs, having “a virtual assistant model, somewhat similar to that used by overseas call centers, could help maximize small retail spaces and improve store efficiency,” he said. he stated. said The New York Times.

“I simply cannot avoid discussing this topic,” he said Fortune, referring to the use of outsourced labor to reduce costs. “The cost is certainly cheaper than in the United States”

Although the operating costs of virtual cashiers are lower for restaurant owners, the salaries are also competitive by Philippine standards. According to Zhang, his virtual cashiers earn more than 150% more than what the average cashier earns at home. It’s a win-win situation.

The concept of virtual cashier is not entirely new. In 2022, Canadian food chain Freshii hired almost 100 workers from places like Nicaragua to accept orders and payments via a video calling device after the company was left struggling with staff shortages caused by the pandemic.

With the technology still in the pilot phase, improvements are expected. Zhang hopes rapidly increase the number of virtual assistants by the end of the year, positioning his company as a leader in a transformative trend in the restaurant industry.



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